Multifamily Rent Decline Continues in December, Reports Yardi Matrix


Rents decline for fifth straight month, dropping $4 in last month to an average $1,709

SANTA BARBARA, Calif., Jan. 10, 2024 – The multifamily market ended 2023 with continued deceleration, recording a fifth consecutive month of rent declines in December, according to the latest Yardi® Matrix National Multifamily Report.

The average U.S. asking rent fell $4 to $1,709 in December, with year-over-year growth at 0.3 percent. Occupancy remained unchanged at 94.8 percent in November.

Metros in the Northeast and Midwest stayed in the lead for rent growth, while five of Yardi Matrix’s top 30 metros posted rent contractions of 3.0 percent or more year-over-year. Occupancy rose in five markets.

“Discounting the 2020 pandemic year’s 0.1 percent gain, 2023’s full-year rent growth of 0.3 percent was the weakest rent performance since the 0.2 percent increase in 2010. And rents are likely to remain stuck in neutral during the early part of the year,” states the report.

Despite the sluggish performance of the multifamily market, ongoing household formation and strong job market sustained demand. Absorption totaled 285,000 units in 2023 through November, including in markets with high supply. Demand also stemmed from immigration, which rebounded in 2022, and is projected to remain consistent in coming years.

Rents fell in both Lifestyle (down 0.2 percent) and Renter-by-Necessity (down 0.1 percent) segments. Rent growth was negative on a monthly basis in 24 of Yardi Matrix’s top 30 metros.

The single-family rental segment outperformed multifamily, with rents up 1.2 percent year-over-year through December to $2,123, up 20 basis points from November. Occupancy inched up 0.1 percent year-over-year to 95.8 percent in November.

Gain more insight in the new Yardi Matrix National Multifamily Report.

Yardi Matrix offers the industry’s most comprehensive market intelligence tool for investment professionals, equity investors, lenders and property managers who underwrite and manage investments in commercial real estate. Yardi Matrix covers multifamily, student housing, vacant land, industrial, office, retail and self storage property types. Email [email protected], call 480-663-1149 or visit to learn more.

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